The *Float Turnover Signal* indicator helps traders analyze the relationship between price changes and trading volume relative to the stock's free float. It generates signals based on turnover ratios, providing insights into liquidity-driven price movements.
**How It Works** - The indicator calculates the **percentage change** in closing price from two days ago to the previous day. - It retrieves the **free float** (the number of publicly available shares) from TradingView. - It then calculates the **turnover percentage**, which represents the previous day's trading volume as a percentage of the free float. - The **turnover ratio** is derived by dividing the price change percentage by the turnover percentage. - Based on this ratio, the indicator generates **color-coded signals**: - 🟢 **Green Signal** – Indicates a balanced turnover ratio (0.8 to 1.2), suggesting a stable price-volume relationship. - 🟡 **Yellow Signal** – Indicates a near-optimal but not perfect ratio (0.6-0.8 or 1.2-1.5), suggesting caution.
**Customization & Features** ✅ **Adjustable Signal Display** – Users can choose how many recent bars will display signals using the `"Number of Bars to Display Signal"` setting. ✅ **Works on Any Timeframe** – The indicator adapts to different chart resolutions. ✅ **Helps Identify Volume-Driven Moves** – Ideal for spotting potential breakouts, liquidity shifts, and confirming price action validity.